After a few years of having no credit card debt, I regret to admit I have some again.

For the last few years I have been using the Amex Blue Cash (which gives back 5% on gas and groceries and 1.5% on everything else) for almost everything, which amounts to about 4K per month. I even pay some bills with it. At the end of the year, it adds up nicely for a decent sized reward.

Recently we had a problem getting water in our basement, which was a health concern, so we opted for a basement system that ran us 5K. I paid it with the Amex, and at the end of the month couldn't stand to part with 9K all at once, so I only paid 7K and left 2K on the balance, realizing I was going to pay a finance charge on that outstanding 2K (which was going to amount to roughly $30, give or take).

Strange thing happened. The next month, when the bill came, Amex said there was no finance charge. I scoured the bill, nothing. I looked at the section which shows your rate (13.25%) and next to that it shows an average daily balance of $0 and as a result, no finance charge ...

So the next month, I do the same thing. I pay all but 2K of the bill ... and once again, no finance charge, 2 months in a row now.

I always though that it worked like this: Once you have a balance, when the bill comes you either pay it off by the due date, or get charged a finance charge on what is outstanding. That doesn't seem to apply with Amex?

Two-cycle billing? Will show up next month with average of this month + next month's balances. In effect you will pay a finance charge on everything you purchase next month since there is a balance carried over.

Two-cycle billing? Will show up next month with average of this month + next month's balances. In effect you will pay a finance charge on everything you purchase next month since there is a balance carried over.

If it were two cycle billing, there still would have been a finance charge the 2nd month. It is more likely, as Fuskie suggests, that there is a 0% promo rate on purchases that the OP is unaware of. I have an AMEX Blue and I seem to recall that around Christmas they were offering 0% on purchases for the next 12 months.....trying to get you to spend more for Christmas, I guess.